What Exactly Is an Internet Exchange?
Since the Internet began, it has constantly evolved into the entity we now know today—sending data all over the world and throughout the country. Without edge computing and other services such as Internet exchanges (IX), it would take a lot longer for that data to travel. At Colo Solutions, one of our customers recently established an IX (the DACS-IX South) inside our carrier-neutral colocation data center.
Learn more about an IX and how it adds value to your day-to-day business operations.
IX Helps Extend the Network of the Internet
The Internet has been referred to as a “network of networks.” The value of the Internet increases as more networks connect. An IX or Internet Exchange Point (IXP) is one method to connect networks. Many believe the Internet is only provided through big transit providers such as AT&T, CenturyLink, and Verizon. However, there are a large number of other carriers, networks, and others that carry Internet traffic, or data. Connecting all of these networks creates a “network effect” that exponentially increases the value of these parts.
Think of the Internet like a railroad line. A railroad line from one city to another links those two cities. If the rail line ends in a rail yard that can then link out to other cities, then that rail line value increases as it reaches other cities. As those rail lines end in other cities and continue to link to other cities, that rail line “network” is extended. Instead of only delivering from one city to another, that rail line can now reach the entire country.
Benefits of Using an Internet Exchange
Using an Internet exchange can reduce the amount of time your data spends traveling. For example, a client in Orlando may need to send data to someone else in Orlando. Typically that data would have to travel up to a large data center in Atlanta or Miami, and then back to Orlando to get to the receiver in Orlando. Using an IX can create a direct link to that recipient in Orlando, which reduces latency.
In addition to connecting and extending networks, other benefits of IXs include:
- Reducing Internet Protocol Transport costs
- Reducing network performance latency
- Reducing dependency on transit providers leading to more network resiliency
Connecting via an IXP also allows companies to reduce the amount of traffic they send across third-party networks.
How Businesses Use Peering to Exchange Traffic
When businesses participate in an IX, they have to “peer” to exchange traffic. There are several peering arrangements such as public peering, private peering, and inter-exchange peering. Many times, participants are able to exchange traffic with each other at little to no cost to each other.
Costs Associated with Utilizing an Internet Exchange
There are some costs involved with an Internet exchange. The costs of an IX include routers, switches, a place to store them, and the power, cooling, and security services provided by the data center where the IX is located. IXs use a variety of models to recover the cost of operation, but the most common type is a charge based on the port. The data center that hosts the IX also typically charges a monthly cross-connect fee to interconnect with the IX.
Learn more about the DACS-IX South and how it can help your business by calling us today.
With the growth in both the volume of data and speed required for the delivery of data, more IXs are being created in edge markets such as Orlando to get closer to the end-user. Colo Solutions’s data center is ideally positioned in downtown Orlando to support these edge deployments. Contact us today at (407) 210-2480 to learn more about the DACS-IX south and how it can help your business.
